JAKARTA – The Jakarta Composite Index (IHSG) has experienced a significant downturn throughout 2026, a performance directly linked to the steep decline in the prices of Indonesia’s large-capitalization stocks. Companies such as DSSA, BBCA, and BREN, traditionally key drivers of the index’s growth, now find themselves among the top 10 laggards of the IHSG year-to-date (YtD).
According to data from the Indonesia Stock Exchange (IDX) as of April 30, the IHSG has fallen approximately 19.55% to 6,956.81 YtD 2026. This marks a level not seen since June 2025, a period when the market was slowly recovering after the US President announced tariff policies in April 2025. In line with this market contraction, foreign investors have recorded a substantial net sell of Rp49.87 trillion from the domestic market this year, pushing the IHSG’s current valuation to a Price-to-Earnings (PER) ratio of 14.69x and a Price-to-Book Value (PBV) of 1.9x.
A confluence of geopolitical sentiments, a dearth of domestic catalysts, and the implementation of various new capital market reform regulations have collectively contributed to the sluggish performance of several prominent stocks this year. Among the most notable underperformers in the top laggards ranking are PT Dian Swastatika Sentosa Tbk. (DSSA) and PT Barito Renewables Energy Tbk. (BREN).
DSSA saw its shares correct by a staggering 60.02% to Rp1,615 following a stock split, significantly weighing on the IHSG by 214.26 points. Similarly, PT Barito Renewables Energy Tbk. (BREN) experienced a 54.02% correction to Rp4,460, impacting the IHSG by 193.86 points. These two stocks, alongside seven others, were identified by the IDX on April 2, 2026, as having high shareholding concentration (HSC), a classification that preceded their substantial corrections.
Beyond these two, several major banking stocks also faced similar downturns. For instance, shares of PT Bank Central Asia Tbk. (BBCA) plummeted 27.55% to Rp5,850, reducing the IHSG by 210.18 points. In a similar vein, PT Bank Rakyat Indonesia (Persero) Tbk. (BBRI) shares dropped 18.31% to Rp2,990, while PT Bank Mandiri (Persero) Tbk. (BMRI) weakened by 13.92% to Rp4,390. These two banking giants collectively shaved off 105.19 points and 55.33 points from the IHSG, respectively.
Further compounding the market’s woes, PT MD Entertainment Tbk. (FILM) witnessed an extreme correction of 83.59% to Rp2,380. PT Barito Pacific Tbk. (BRPT) fell 43.88% to Rp1,835, and PT Telkom Indonesia (Persero) Tbk. (TLKM) weakened by 19.25% to Rp2,810. Adding to the broad market weakness, shares of PT Bayan Resources Tbk. (BYAN) tumbled 27.39% to Rp11,400, reducing the IHSG by 68.57 points. PT Ekamas Mora Republik Tbk. (MORA) also plunged 60.91% to Rp4,710, impacting the IHSG by 56.97 points.
A Combination of Pressures
The persistent pressure on the Indonesian stock market this year stems from a potent mix of simultaneous global and domestic sentiments. Rising oil prices, fueled by escalating conflicts in Iran, have prompted investors to shy away from riskier assets. Concurrently, MSCI’s decision to suspend changes to the composition of Indonesian stocks has triggered short-term foreign fund outflows, exacerbating market volatility.
Abida Massi Armand, an analyst at BRI Danareksa Sekuritas, notes that this sharp correction has driven the IHSG’s price-to-earnings (PE) ratio down to the 11-12x range. This level is close to a five-year low and significantly below the historical average of 14-15x. “This reflects that most of the risks, including MSCI pressures, rupiah weakening, and FOMC uncertainty, are already largely discounted by the market,” Abida explained.
For medium-term investors, Abida suggests that the current IHSG level offers a considerable “margin of safety” for gradual accumulation. However, she cautions that the market still awaits recovery catalysts, particularly from the stability of the rupiah exchange rate and clearer signals regarding the Federal Reserve’s interest rate policy direction. In the short term, market pressure is further shadowed by potential foreign fund outflows, estimated to reach Rp15 trillion due to the MSCI decision.
Nevertheless, a brighter outlook emerges for the medium term, supported by internal exchange reforms. The implementation of high shareholding concentration (HSC) rules, improvements in free float regulations, and stricter index criteria are expected to significantly strengthen the foundations of the domestic capital market. Abida anticipates a potential structural return of foreign funds within the next 6-12 months as these reform efforts progress.
Measures such as meeting the minimum 15% free float threshold and enhancing the transparency of investor classification are projected to boost global institutional investor confidence. “In a base case scenario, Indonesia has the potential to become a foreign net buyer again in Q3 or Q4 2026, provided the rupiah stabilizes below Rp17,000 and reforms proceed as scheduled,” Abida affirmed. Conversely, the prospect of prolonged high interest rates continues to pose a significant challenge for emerging markets, including Indonesia.
Below is the list of the top 10 IHSG laggards throughout 2026:
| Stock Code | Decline | IHSG Impact |
|---|---|---|
| DSSA | -60.02% | -214.26 points |
| BBCA | -27.55% | -210.18 points |
| BREN | -54.02% | -193.86 points |
| BBRI | -18.31% | -105.19 points |
| FILM | -83.59% | -95.27 points |
| BRPT | -43.88% | -82.82 points |
| TLKM | -19.25% | -70.28 points |
| BYAN | -27.39% | -68.57 points |
| MORA | -60.91% | -56.97 points |
| BMRI | -13.92% | -55.33 points |
Summary
The Jakarta Composite Index (IHSG) recorded a significant 19.55% year-to-date decline by April 30, 2026, dropping to 6,956.81, its lowest point since June 2025. This downturn was heavily influenced by major stocks like DSSA (-60.02%), BREN (-54.02%), and BBCA (-27.55%), which were among the top laggards. Contributing factors include geopolitical sentiments, a lack of domestic catalysts, and new capital market reforms, alongside a substantial Rp49.87 trillion in foreign investor net selling.
The market’s Price-to-Earnings (PE) ratio has fallen to 11-12x, near a five-year low, indicating that many risks are now discounted. While short-term pressures, including potential foreign fund outflows due to MSCI decisions, are present, analysts suggest a medium-term “margin of safety” for investors. Internal exchange reforms, such as High Shareholding Concentration rules and improved free-float regulations, are anticipated to strengthen the market and potentially attract foreign funds within 6-12 months if the rupiah stabilizes.